A Rotorcraft UAV provides an ideal experimental platform for vision-based navigation. This paper describes the flight tests of the US Army PALACE project, which implements Moravec?s pseudo-normalized correlation tracking algorithm. The tracker uses the movement of the landing site in the camera, a laser range, and the aircraft attitude from an IMU to estimate the relative motion of the UAV. The position estimate functions as a GPS equivalent to enable the rotorcraft to maneuver without the aid of GPS.With GPS data as a baseline, tests were performed in simulation and in flight that measure the accuracy of the position estimation.